- Nov 17, 2009
Market analysts report that China will be the world’s largest construction market by 2018, at $2.4 trillion – 19.1% of global construction output. The new report by Global Construction Perspectives and Oxford Economics was issued last week in London.
The pace of development can still be seen and felt on the ground in the juxtaposition of old methods and new technology. Bamboo scaffolding spans between steel superstructures, and hand carts weave their way through tower crane supports. Construction sites turn into archaeological digs on development sites in the historic centers of ancient cultures, now the epicenters of modernizing cities.
Urbanization continues to fuel the development market, and business leaders here predict that trend continuing for the next 10 years. The scale of development is driving new innovations in all areas of the market as it continues to develop and stratify – in processes, materials, sustainability, and technology. We are seeing three major types of developers leading the market.
Mature developers drive efficient budgets and delivery processes for speed to market. Established proformas and programs require focus on blistering pace and lowering cost models. Keys to success for these developers are strong delivery and implementation disciplines, with tightly controlled costs.
Young entrepreneurial developers are thriving in new niche markets requiring great creativity and innovation strategies. Design quality is key for the success of these projects, along with unique programs and focused specialization.
Government sponsored developments invest time and money into highly visible and iconic projects. A symbolic connection to the culture, highest quality design and construction, and market leading firsts are key to the success of these projects.
The construction industry is going global – paying attention to the leading growth market is critical in understanding trends that will ultimately effect the more developed markets in the US and Europe – whether working in China or anywhere else on the planet.